As you can see in my chart the altcoins market cap formed a clear inverted head and shoulder formation which recently confirmed to the upside, in this case, it is highly important to look at it as the index representing the whole altcoin market cap with the different single altcoin, therefore, there are big differences between the specific coins and their movements where some are looking highly where others already formed new highs, therefore, it is significantly meaningful that the different coins should be distinguished here and that there are coins with a bigger market cap who representing a stronger part in this index. But what the overall picture now provides is a stronger move to the upside where altcoins already took out the falling resistance, formed a clear formation and confirmed this head and shoulder formation whereas the formation in bitcoin is not that well established and strong like the coins and it's still below resistance.
When we look at bitcoin now and the formation which is building below the resistance it looks more as a than an inverted strong head and shoulder formation which successfully confirmed. Therefore the consolidation can still turn when bitcoin does not manages to move above the falling resistance and confirm it sustainable as support. There is still a possibility for bitcoin to move higher in the short term but we should keep in mind that there are strong resistance levels and when bitcoin does not manage to form solid and strong momentum the short term trend can change in the opposite direction. If bitcoin manages to climb higher and take out the important resistance it can form the solid counterpart to the altcoins especially when altcoins lose in momentum this can happen in a consolidation where altcoins fall more than bitcoin and bitcoin gains in and strongness.
Coming to a termination we can definitely take note that the overall altcoins measured in market cap showing some stronger momentum and clearer formation in the short term compared to bitcoin now that does not mean that this trend holds on forever but when it holds on more and altcoins increase more in price solidity we should keep the possibility for an altcoin season in 2020 or 2021 in mind where there are coins that show some solid movement and high gains to the upside while others showing moderate gains and or signs. This does not mean that bitcoin goes completely but it means that there can pop up good opportunities in the altcoins to make good gains as we saw it already happening in the past. In overall market cap dominance and measured market cap bitcoin will definitely stay in number one place as it is the leading major and the first one on the screen but this is not a contradiction that altcoins can gain in strength again similarly to the altcoin season seen after the bull market peaks in 2017.
In this manner, thank you for watching, support for more market insight, have a great day and all the best to you!
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Information provided is only educational and should not be used to take action in the markets.